Rebuilding Market Share in Small Cities for Global Mobility-as-a-Service Provider

The mobility-as-a-service industry is fiercely competitive, especially in smaller cities. This case study explores how a leading player successfully revitalized its market share by implementing a data-driven, user-centric approach with the help of BayRock Labs. By empowering riders and drivers with greater flexibility and control, the company not only regained lost ground but also set a new standard for the industry.

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Challenge

Declining Market Share

The client faced a 25% decline in market share in small cities over the past 3.5 years due to aggressive competition

Rigid Pricing Model

The fixed fare structure limited flexibility and responsiveness to local market dynamics.

Low User Satisfaction

Increasing rider dissatisfaction with limited fare options and driver discontent with low earnings impacted retention rates.

Solution

To address the challenges of a stagnant market, we implemented a multifaceted solution. This holistic approach created a dynamic marketplace that catered to both riders and drivers, fostering a mutually beneficial ecosystem.

Flexible Fare Model

Introduced a new business model allowing riders and drivers to negotiate fares in nine pilot cities across Latin America.

Simplified Onboarding

Streamlined the user onboarding process, reducing sign-up time by 30%.

Enhanced User Experience

Implemented a fairness indicator to guide decision-making and out-of-app communication to improve driver engagement.

Rider Bidding Feature

Enabled riders to increase their bid for higher chances of securing a ride.

Impact

Our innovative model significantly enhanced the user experience, driving business growth and increased market share. Key metrics include:

User Acquisition

60% surge in new user sign-ups within six weeks.

Driver Engagement

27% increase in accepted trips and 9% improvement in rider acceptance rates.

User Satisfaction

90% reduction in new customer abandonment and improved rider experience with low bids.

Revenue Generation

20% overall revenue increase driven by higher out-of-app offer impression rates and increased user engagement.

Conclusion

By reimagining the mobility experience through a rider and driver-centric approach, we at BayRock helped our client reclaim lost market share. Our data-driven solution, coupled with a focus on user satisfaction, has redefined the industry standard. Our support underscores the power of a flexible business model and the importance of understanding and responding to customer needs in a dynamic marketplace.

60% surge in new user sign-ups
27% rise in accepted trips and 9% boost in rider acceptance rates
90% reduction in new customer abandonment
20% overall revenue increase